II

106TH CONGRESS

1ST SESSION S. 1474

Providing for conveyance of the Palmetto Bend project to the State of Texas.

IN THE SENATE OF THE UNITED STATES

AUGUST 2, 1999

Mrs. HUTCHISON introduced the following bill; which was read twice and

referred to the Committee on Energy and Natural Resources

A BILL

Providing for conveyance of the Palmetto Bend project to

the State of Texas.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Palmetto Bend Con5 veyance Act’’.

6 SEC. 2. DEFINITIONS.

7 In this Act:

8 (1) PROJECT.—The term ‘‘Project’’ means the

9 Palmetto Bend Reclamation Project in the State of

10 Texas authorized under Public Law 90–562 (82

11 Stat. 999).
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1 (2) SECRETARY.—The term ‘‘Secretary’’ means

2 the Secretary of the Interior.

3 (3) STATE.—The term ‘‘State’’ means the State

4 of Texas, acting through the Texas Water Develop5 ment Board and/or the Lavaca-Navidad River Au6 thority, or both.

7 SEC. 3. CONVEYANCE.

8 On receipt of payment in accordance with section

9 5(a), the Secretary shall convey to the State the title and

10 all rights and interests (excluding the mineral estate) in

11 and to the Project held by the United States.

12 SEC. 4. COMPLETION OF CONVEYANCE.

13 (a) IN GENERAL.—The Secretary shall expeditiously

14 complete the conveyance under section 3 including such

15 actions as may be required under the National Environ16 mental Policy Act of 1969 (42 U.S.C. 4321 et seq.).

17 (b) REPORT.—If the conveyance under section 3 is

18 completed later than 1 year and 180 days after the date

19 of enactment of this Act, the Secretary shall submit to

20 the Committee on Resources of the House of Representa21 tives and the Committee on Energy and Natural Re22 sources of the Senate a report that describes—

23 (1) the status of the conveyance;

24 (2) any obstacles to completion of the convey25 ance; and
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1 (3) the anticipated date for completion of the

2 conveyance.

3 SEC. 5. PAYMENT.

4 (a) IN GENERAL.—As a condition of the conveyance

5 under section 3, the State shall pay to the Secretary

6 $48,000,000.

7 (b) OBLIGATION EXTINGUISHED.—On payment by

8 the State under subsection (a), the obligation of the State

9 under the Bureau of Reclamation contract numbered 14–

10 06–500–1880, as amended, shall be extinguished.

11 (c) ADDITIONAL COSTS.—In addition to the payment

12 under subsection (a), as a condition of conveyance, the

13 State shall bear the cost of all boundary surveys, title

14 searches, appraisals, and other transaction costs for the

15 conveyance.

16 (d) FINANCING.—Nothing in this Act shall be con17 strued to affect the right of the State to use a particular

18 type of financing.

19 (e) RECLAMATION FUND.—All funds paid by the

20 State to the Secretary under this section shall be credited

21 to the Reclamation Fund in the Treasury of the United

22 States.

23 SEC. 6. FUTURE MANAGEMENT.

24 (a) IN GENERAL.—As a condition of the conveyance

25 under section 3, the land, water, facilities, and mineral
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1 estate of the Project shall continue to be managed by the

2 State and operated for the purposes for which the Project

3 was originally authorized, based on current use and his4 toric operation, to ensure the implementation of fish, wild5 life, and recreational activities.

6 (b) EXISTING OBLIGATIONS.—As a condition of the

7 conveyance under section 3, the State shall assume all ob8 ligations of the United States associated with the Project

9 existing on the date of the conveyance, including obliga10 tions under contracts, for recreation, fish and wildlife,

11 easements, and any permits or license agreements.

12 SEC. 7. MINERAL DEVELOPMENT.

13 (a) IN GENERAL.—All mineral interests in the

14 Project retained by the United States on completion of

15 the conveyance under section 3 shall be subject to contin16 ued use by the State for the purposes for which the

17 Project was authorized, including—

18 (1) maintenance of the municipal and industrial

19 water supply;

20 (2) recreation; and

21 (3) fish and wildlife activities.

22 (b) SURFACE ESTATE.—The surface estate of the

23 Project may be used for exploration, development, or pro24 duction of oil, gas, or minerals only on approval by the

25 State.
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1 SEC. 8. LIABILITY.

2 (a) IN GENERAL.—Effective on the date of convey3 ance of the Project, except as relates to retained mineral

4 interests, the United States shall not be liable for damages

5 of any kind arising out of any act, omission, or occurrence

6 with respect to the Project, except for damages caused by

7 acts of negligence committed prior to the date of convey8 ance by—

9 (1) the United States; or

10 (2) an employee, agent, or contractor of the

11 United States.

12 (b) NO INCREASE LIABILITY.—Nothing in this sec13 tion increases the liability of the United States beyond

14 that provided for in chapter 171 of title 28, United States

15 Code.

16 SEC. 9. FUTURE BENEFITS.

17 (a) DEAUTHORIZATION.—Effective on the date of

18 conveyance of the Project, the Project conveyance under

19 this Act shall be deauthorized.

20 (b) NO RECLAMATION BENEFITS.—After deauthor21 ization of the Project under subsection (a), the State shall

22 not be entitled to receive any benefits under Federal rec23 lamation law (the Act of June 17, 1902 (32 Stat. 388,

24 chapter 1093), and Acts supplemental to and amendatory

25 of that Act (43 U.S.C. 371 et seq.)).

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